The virtual explosion of technological advances in microelectronics, digital computers, and software have changed the face of modern society. In fact, these technological advances become so important and pervasive that some people refer to this explosion as the "Information Revolution." Through telephone lines, networks, satellite communications and the like, information is routinely generated, transmitted, received and processed. Beyond the large scale communication systems, information is being communicated in much smaller and abstract ways, such as packets in computer networks, instructions within individual computers, or even the individual pulses within a digital wrist watch. Often, the information being transmitted is highly sensitive, such as passwords, financial transactions, and the like. When measured against the ever increasing ability and creativity of saboteurs, hackers and agents attempting to access the sensitive information, it is critical that such information have a reliable and secure means to be sent so as to prevent unauthorized access to such information. The present invention, as disclosed in detail below, describes a novel method and apparatus for transmitting secured data, which provides improved reliability of transmission and improved security to preserve the confidentiality of secret data.